The owner of the now shuttered Fairmont Regional Medical Center agreed to pay nearly $1 million in paid-time off to employees affected by the closure.
The announcement was made Wednesday by state Attorney General Patrick Morrisey and the Service Employees International Union District 1199.
Morrisey and his office have been investigating whether the hospital’s owner, California-based Alecto Healthcare, a for-profit health care company, violated labor laws with last month’s closing.
Earlier this week, the Retail, Wholesale and Department Store, which represents 120 people formerly employed at the hospital, said it plans to file a suit against Alecto for violating the federal Worker Adjustment and Retraining Notification Act of 1988. The WARN act requires employers with more than 100 workers to provide a 60-day notification of closure or mass layoffs.
The 60-day mark for Fairmont Regional would have been April 18. The 207-bed hospital employed 600 people.
“I am pleased to hear that Alecto has agreed to pay nearly $1 million in paid time off to employees who have earned that money through their hard work and loyalty at Fairmont Regional Medical Center,” Morrisey said in a statement. “This is an important first step by Alecto, but make no mistake that our office remains committed to taking every step possible to help the workers who were improperly treated.”
Alecto announced its plans to close Fairmont Regional in February after failing to find a buyer and losing $19 million in the last three years.
“This is a major victory for the workers of Fairmont Regional Medical Center, who continued to provide quality care to the community up until the day Alecto shuttered the doors of the hospital,” said Joyce Gibson, regional director for SEIU District 1199. By working with Gov. Justice and Attorney General Morrisey, we are sending a message that if you are going to do business in West Virginia, you have to treat our workers with dignity and respect.”
Alecto, which said it tried to find a buyer, said it lost $19 million during the last three years. It also said it had difficulty attracting physicians, was dealing with an aging facility and faced competition from larger health systems. And lastly, the hospital was not able to qualify as a critical care access hospital or sole community hospital because of its location and close proximity to other medical centers.
“These employees did not ask for the sudden closure of Fairmont Regional Medical Center,” Morrisey said. “It was forced upon the employees and the community at large amid the global pandemic. Our office intends to leave no stone unturned.”
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Morgantown Area News
'Sunday, November 24, 2024'
